Signs Of More Downside For Verizon Communications

Verizon Communications Inc. VZ is scheduled to report its second-quarter results on Friday morning.

On CNBC's "Options Action," Michael Khouw of Optimize Advisors said that Verizon Communications traded more than 3.4 times its average daily put volume on Thursday. The options market is implying a move of around 3.7% after the company reports earnings, significantly higher than the below 2% average over the past eight quarters, he added.

Check out other stocks making moves in the premarket.

There were buyers of 6,228 of the July 22 weekly 46-puts at an average price of 38 cents per contract, Khouw mentioned. Traders expect shares of Verizon Communications to decline after the earnings report, he added.

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VZ Price Action: Shares of Verizon Communications declined by 2.88% to settle at $47.66 on Thursday.